$60+ in fees for a single withdraw. Could exchanges survive this?

[passwordnow]

Exchanges can make some deal to work together and use internal transfers or alternative chains to reduce fees.
Some of them have their own chains like Binance, Huobi and others.

That's possible, only if they agree to do that. But they are all competing to each other so I doubt it that an agreement for most of the exchanges will create an internal transfer.
But if this happens, every trader can easily transfer it with ease and have it for free. It could be a dream come true if someday these exchanges grants what you're thinking.

[JooBra]

For how long do you think exchanges could continue and survive this way before they start blocking or impose cosmic fees over ERC-20 withdraws?

There are many private blockchains that offer cheaper services.  Every time you make a Ethereum trade, you are supporting everyone in the world.  You should pay fees more equal to the actual cost within your peer/interest group, a much smaller domain.

Yeah there are coins that are not eth20 based and you have low fee with them. I never transfer money in ETH atm I use Cardano for that. Fees are big now and for ETH2.0 should fix that but that wont happen soon.

[doctor877]

this high fees is getting out of hands on the ETH chain, this is only pushing people to find an alternative because this high fees is not sustainable. spending 20$ for a 50$ worth token beats one of the main purpose of why people should choose cryptocurrency over fiat.

[7788bitcoin]

For how long do you think exchanges could continue and survive this way before they start blocking or impose cosmic fees over ERC-20 withdraws?

If you could tell which exchange is providing the withdrawal fees rather than putting that burden to the end user, if that is true then that model will not last forever. The withdrawal fees are high if you are withdrawing ERC 20 tokens and hence i am not moving the coins from exchanges even though i know the risks involved as i do not want to pay high fees, i expected the ETH 2.0 upgrade will sort the issue and now i am thinking when that change would take place.

[Dutchyyy]

I think people are getting smart now. They're exchanging into USDT or some other stablecoins and then moving it out for a few dollars, then exchanging back. They still lose on fees but it's faster and not as painful as $50 and still waiting for confirmations.

I think Layer 2 is also going to be more popular in future.

I'm doing such transfers because USDT TRC-20 withdrawals are free or very cheap. But there are still exchanges that support only ERC-20 and Omni Tether deposit/withdraws for some strange reasons. Example: Kraken & Bittrex.

I also think that Layer 2 will gain popularity and solve the problem with fees.

I am locking the topic now.